PHОТО: SHUTTERSTOCK

The exchange rate of the cash Euro to the Ukrainian hryvnia fell by 23 kopeeks from UAH 10.32 to UAH 10.09 since the beginning of August 2010. The decline was due to the situation on the Forex exchange market, where the Euro also fell in value against the U.S. dollar in August to 1.27. Despite this, foreign currency experts believe such a situation is temporary and forecast that the Euro will grow in value.

“By the end of the year the exchange rate of the Euro will reach UAH 11. The growth of hryvnia is associated with the raise in the Euro to the dollar observed on world markets and a slow strengthening of the dollar to the hryvnia expected this fall,” said Vice Chairman of the Board of BM Bank Taras Kyak. “On the contrary, I do not see any reason for the devaluation of the hryvnia. When fall hits we can expect an insignificant drop in the exchange rate of the national currency associated with a slight growth in inflation due to the rise in tariffs for utility services. By the end of 2010 the exchange rate of the hryvnia will be UAH 8.0-8.05 to the U.S. dollar,” Kyak added.